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8/11/2019 Franchse Sample

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Oppenheimer 12thAnnual Consumer ConferenceDOMINOS PIZZA


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This presentation and our accompanying comments include forward-looking statements.

These statements relate to future events or our future financial performance and are subject to knownand unknown risks, uncertainties and other factors that may cause our actual results, levels of activity,performance or achievements to differ materially from those expressed or implied by these forward-looking statements. This presentation and our accompanying comments do not purport to identify therisks inherent in an investment in Dominos Pizza and factors that could cause actual results to differ

materially from those expressed or implied in the forward-looking statements, include but are notlimited to those risk factors identified in Dominos Pizza, Inc.s Annual Report on Form 10-K for thefiscal year ended January 1, 2012, as well as other SEC reports filed by Dominos Pizza, Inc. from

time to time. Although we believe that the expectations reflected in the forward-looking statements arebased upon reasonable estimates and assumptions, we cannot guarantee future results, levels ofactivity, performance or achievements. We caution you not to place undue reliance on forward-lookingstatements, which reflect our estimates and assumptions and speak only as of the date of thispresentation. We undertake no obligation to update the forward-looking statements to reflectsubsequent events or circumstances. In light of the above, you are urged to review the disclosurescontained in the Dominos Pizza, Inc. SEC reports, including the risk factors contained therein.

This presentation contains trade names, trademarks and service marks of other companies. We do notintend our use or display of other parties trade names, trademarks and service marks to imply a

relationship with, or endorsement or sponsorship of, these other parties.

FORWARD-LOOKING STATEMENTS


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Domestic Business

Popular brand

Primarily franchised

Value-added Supply Chain

International Business

Entirely franchised

Highly profitable master franchise business model

Consistently strong sales and store growth

Leveraging Technology

Online and mobile ordering

Digital marketing

Balance Sheet

Franchise business run efficiently, with leverage

Cash deployed to benefit shareholders

INVESTMENT THESIS


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OVER 9,500 UNITS WORLDWIDE

51% of Global Retail Sales49% of Global Retail Sales

4,511 Franchised Stores

387 Company-Owned Stores

19 Company-Owned SupplyChain Facilities

Domestic International

4,912 Franchised Stores

Currently No Company-Owned Stores

6 Company-Owned Supply ChainFacilities

As of Q1 2012


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DomesticSame Store

Sales

+1% to +3%

InternationalSame Store

Sales

+3% to +6%

GlobalNet Units

+350 to +450

GlobalRetail Sales

+5% to +8%

Outlook does not constitute specific earnings guidance. Dominos does not provide quarterly or annual earnings estimates.

LONG RANGE OUTLOOK


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6Source: The NPD Group/CREST - year-ending February 2012

DOMESTIC MARKET SHARE

Pizza Delivery Market Share

22%

29%49%

11%

26%63%

Total QSR Pizza Market Share

Dominos Pizza Small Chains & IndependentsMajor Pizza Chains


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Focused and efficient operating model

Delivery and carryout

Low cost to open / operate

$150,000 - $300,000 average cost range for new store

Minimal square footage

Makeline + oven + POS system

Strong cash-on-cash returns

Average reported annual EBITDA per domestic franchise store isbetween $50,000 and $75,0001

As of FY 2011

DOMESTIC PIZZA UNIT ECONOMICS

Franchise model generates sustainable returns


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Sells and delivers food & equipment to U.S. franchisees

Provides consistency

Produces fresh dough

System-wide ingredients & equipment

Franchise partnership

Profit-sharing agreement

Supporting Strong Domestic Business

DOMESTIC SUPPLY CHAIN


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Pricing pass-through on most items Provides stable dollar operating profit margin for Supply Chain

Multi-year pricing arrangement for cheese Lower volatility and improved budget planning

Expect 1% to 2% increase in food basket for 2012*

Magnitude ofCommodity Costs

Cheese

Meat

Boxes

Wheat

Sauce

*As updated on Q1 2012 earnings call

INPUT COSTS


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Q1 2012 SSS were +2.0%

Nearly 7% of total sales coming from mobile devices;more than 30% of total sales from digital

Introduced Parmesan Bread Bites

Q1 2012 DOMESTIC RECAP


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3,2233,469

3,726

4,072

4,422

4,835

2006 2007 2008 2009 2010 2011

Excludes the impact of foreign currency exchange rates

INTERNATIONAL PERFORMANCE

International profits driven by franchise royalties 91% of 2011 International operating income

Limited Dominos Pizza investment through master franchise model

Five-year International retail sales CAGR of 13%*

International is ranked among top five publicly-traded restaurant companies interms of store count

*FY 20062011

International Store Growth International Same Store Sales Growth

4.0%

6.7%

6.2%

4.3%

6.9% 6.8%

2006 2007 2008 2009 2010 2011


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INTERNATIONAL OPPORTUNITY

Top 10 Markets

Q1 2012

Store Count

Delivery Market

Position

Potential

Store Count

United Kingdom 675 1 1,100

Mexico 577 1 700

Australia 452 1 650

India 459 1 1,000South Korea 359 2 450

Canada 360 2 450

Turkey 228 1 600

Japan 209 3 700

France 201 1 850

Taiwan 140 2 150

TOTAL 3,660 6,650

Delivery market position and potential store count based on Dominos Pizza International estimates.

Potential for nearly 3,000 additional restaurants in Dominos top 10 international markets alone

Next five are as diversified as the top ten (store counts as of Q1 2012):Netherlands (113), Spain (113), New Zealand (84), Malaysia (77), Saudi Arabia (76)


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Store Growth 20062011:

Pizza Hut: +1,141 Dominos: +1,848Papa Johns: +561

ACCELERATING AND LEADING INTERNATIONALNET UNIT GROWTH

31

90

140

10087

113

147

209

249

104

175

257236 246

257

346 350

413

0

50

100

150

200

250

300

350

400

450

2006 2007 2008 2009 2010 2011


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INTERNATIONAL STORE GROWTH SINCE YE 2008

Dominos Pizza: 30%

Dunkin Brands: 27%

Starbucks: 22%

Yum! Brands: 15%

McDonalds: 8%

Figures are as of companies most recent 10-K filings.


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869

730

460599

2,254

JUBI

DOM

India Sri Lanka

DMP

Australia New Zealand Netherlands France Belgium

Alsea

STRONG INTERNATIONAL FRANCHISE BASE

Mexico

Colombia

Four publicly-traded Dominos Pizza Master Franchiseesmake up more than half of total international store count

Rest ofInternational

United Kingdom Ireland Germany

International master franchisee store count pie chart as of Q1 2012. Master franchisee market capitalization as of 4/20/2012.

Market Cap$616.8M

Market Cap

$1,121.7M

Market Cap$1,423.4M

Market Cap$870.0M


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SSS were +4.7%

73 consecutive quarters of positive same store sales growth

Store count grew by a net 77 unitsinternational store count is now

bigger than domestic

Q1 2012 INTERNATIONAL RECAP


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Hit $1 billion in digital sales in one

year

in the U.S1

.

Both mobile apps rank in top 15in lifestyle rankings in iTunes

store and Google Play2

.

Android app generated morethan 140,000 downloads in its

first two weeks after beingreleased

2.

TECHNOLOGY

1First achieved in the yearlong period ending April 20122Forbes, June 21, 2012

JUNE 2011

FEBRUARY 2012


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0.35

0.33

0.27

0.400.42

0.40

0.35

0.52

0.47

1.35

1.69

0.70

0.90

1.10

1.30

1.50

1.70

1.90

0.00

0.10

0.20

0.30

0.40

0.50

0.60

1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Full Year

2010 2011 2012

FINANCIALS

Q1 2012 Adjusted EPS Up 12% Over Q1 2011

(1) EPS amounts are adjusted for items affecting comparability.

(2) Items adjusting reported EPS are detailed in the respective Earnings Release or 8-K.


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$1.575 billion debt at an interest rate of 5.216%

Includes an additional $100M VFN facility

Undrawn as of Q1 2012

Issued $39.7 million letters of credit as of Q1 2012

Whole-business securitization secured with most cash flowsof the company

7-year term to Anticipated Repayment Date

Required principal payments equal to 1.5% - 2.5% of debt annually untilleverage is 4.5x or less

CAPITAL STRUCTURE

As of Q1 2012, the blended cash interest rate was 6.0%. See 10-Q for further detail.


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5.5

4.7

4.1

3.2

4.8

3.7

3.1 3.0

7.2

7.7

6.7

5.5

4.9 5.3

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 Q1 2012

HISTORY OF OPERATING WITH LEVERAGE

Total Debt to EBITDA


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Macro

Growing unemployment

Negative GDP

Financial crisis

High commodity costs

Company

Negative U.S. same-store sales of4.9%

Lower year for store level profits

U.S. store counts down by morethan 100

2008: STRESS TEST OF DPZS RESILIENCY

YetDominos remained resilient:

No debt covenants were brokenCompany still profitable; EBITDA dropped by 8%International division stayed strong throughout

Total sales continued to grow


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Invest in growing the business, and

1As stated in the 2011 10-K.

DEPLOY CAPITAL TO BUILD SHAREHOLDER VALUE

Deleverage

Moderate amortizationrequirements under

current debt structure.

Repurchase Shares

In 2011, repurchased 6.4million shares at average

price of $25.721

.

In July 2011, Boardauthorized replenishmentof Open MarketRepurchase Program to$200 million, $82.3 millionof which remained as ofyear-end 2011.

Pay Dividends

Paid $3.00 per sharespecial dividend as part

of recapitalization inMarch 2012.


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Powerful Global Brand with more than 50 Years of:

PROVEN BUSINESS MODEL

Strong product demand

Strong unit economics

Consistent cash flow based upon franchise model


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THANK YOU!

Contact InformationLynn Liddle: [email protected]

Jenny Fouracre:[email protected] Vlisides: [email protected]
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]

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